The "Save your credit" scam

Here's how this scam usually happens. Someone contacts you and says that he can save your credit. He says that by working with him, you can not only avoid foreclosure but also avoid any hit to your credit. According to this person, the reason it works is because you will turn over the house to him and the foreclosure will be recorded against him not you.

Keep in mind that a foreclosure is a lawsuit that the lender files against the borrower, so even if you were to turn over the house to this investor, the lender will file against you.

If you were to turn over this house to this investor and walk away, you would be the one responsible for the loan, not him. If he wanted to, he could live in it rent free or collect rent on it by renting it out. He'd have no responsibility for it. He'd just have to move out when the foreclosure became final.

Return from "save your credit" page to Foreclosure Scams page